Led by David Borom

Waterbear Group is led by David Borom, an entrepreneur and proven operator. I buy businesses, run them personally, and build them...usually for a very long time.

Background:

• Transaction Advisory at Loop Capital Markets, analyzing deals for PE funds and corporate buyers with a focus on business enterprise valuation and quality of earnings
• Operating experience: Scaled an educational services company 5x over 5 years through operational improvements and team investment
• Based in Chicago, I focus on Midwest businesses where hands-on involvement creates asymmetric advantage.

What this means: I understand how businesses get evaluated and how they actually run. I've sat on both sides of the table.

We're not a fund. I invest personal capital in every deal, partnering with family offices and permanent capital investors who share a decades-long horizon.

What that means:

• No LP pressure – We don't have investors demanding exits at year 5
• Individual underwriting – Each business is valued on what you built, not portfolio formulas
• Deal-by-deal capital raise – Once we commit, we secure capital from our investor network (typically 10-14 days post-LOI)
• Sequential approach – We don't acquire the next business until the current ones are stable and thriving

Learn First

When I acquire a business, I take 6-12 months to understand it. The operations, the industry, and what makes it successful. I partner with existing management and encourage sellers to stay involved. I want to absorb all of the institutional knowledge available, not impose a playbook on day one.

Invest in Teams

Management equity is standard (5-15% pools). We promote from within first. In our first platform, we grew from 15 to 40+ people with zero layoffs and multiple internal promotions.

Use Conservative Leverage

50-70% debt vs. typical 90%+. Why? When our first deal faced a significant external disruption 6 weeks post-close (a 60% revenue drop), conservative leverage gave us room to invest rather than cut. Business health beats maximum returns.

Underwrite Individually

Each deal is structured separately based on the business's needs, not on portfolio formulas. Some businesses need creative deal structures for personal, professional, or tax reasons. Others want a clean deal. Either way, we adapt.

We raise capital deal-by-deal from:

• Family offices with permanent capital mandates
• Accredited investors aligned on indefinite holds
• Strategic operators who bring expertise beyond capital

Why this works: Our investors aren't fund LPs demanding exits. They're partners who understand that great businesses compound over decades.